Facial recognition isn't as great as it's hyped to be, partly for the reasons you mentioned, but also because computers really don't do a very good job yet of converting 2D images from a camera to a 3D image, and so getting the right angle is not a trivial task. What they are working on (and I have no idea how far along this technology is ) is gait-recognition software! Much more difficult to fake, and also easier to track and compare.
I don't know if it's just here, but it's becoming more and more difficult to find a pubic computer that doesn't require ID. All ibrary computers for years have required ID to use, and it's getting more and more difficult to purchase cell phones without ID.
BTW, I dumped my flashdrive in the toilet, and it still worked after drying out. The external hard drives are probably more vulnerable to water damage, but the flash drives are not.
As far as your comment about criminals not using banks, I'm pretty sure they almost all do, at least the ones that are not scurry-rats in alleyways, but who have cars, live in houses, and pay utility bills.
The best way for someone to fly below the radar is to live in a collective situation, which is why the current new monies that Obama is spending to spy on the civilian population has to do with social networking - so they can make sure that everyone is tagged, and the "mavens" - the hub centers are identified and their networks speced out.
In fact, that's a whole new branch of mathematics - network algorithms.
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